PIF to adopt new strategy in 2 months: Al-Rumayyan

Yasir Al-Rumayyan, Governor of the Public Investment Fund (PIF), said the Kingdom plans to outline the fund’s new strategy within the next two months. This will build on the current strategy through 2030 and then extend to 2040 and beyond.

Speaking at a seminar in Washington, Al-Rumayyan added that the fund’s average internal rate of return (IRR) rose to 7.2%, up from just 2% previously.

He noted that investment decisions are based on several factors, most notably returns. However, the fund invests in certain sectors to enhance their contribution to GDP, create jobs, and advance economic diversification away from oil.

The fund aims to grow its assets to $1.07 trillion before the end of the year, and to at least $2 trillion by 2030, compared to the current level of around $925–930 billion, Al-Rumayyan said.

As for Saudi Aramco, the governor said the company’s oil extraction costs range between $3 and $3.5 per barrel, attributing this competitive advantage to the adoption of advanced technologies, particularly artificial intelligence.

He further noted that Aramco has the capacity to produce 12 million barrels per day, compared to the current output of 10 million, and that production could be boosted by 20% within days, but would require additional exploration.